Gold Price Forecast – Gold Continues to Watch The Ceiling Above

Gold Markets Technical Analysis

Gold rallied slightly in the early hours on Tuesday as we continued to bounce around overall. The biggest problem I would have with getting long of gold here is that we are sitting just below pretty significant resistance. So, with that being the case, I think the only way you can really look at this is a market that either needs to pull back or break above the crucial $2,720 region. The market breaking above there could open up a move to the recent all-time high.

If we do fall from here, and I think that’s a very real possibility, I don’t read too much into it other than we’re just not ready to break out. It would make perfect sense for the market to simply consolidate going forward, as the interest rate situation, of course, remains rather high in the United States and of course, people really don’t know what to do with that.

Gold is going to be a performer against other currencies, not the US dollar. So, for example, if you’ve looked at a gold versus Australian dollar chart lately, you’ve seen real progress. Same thing with the euro and the yen. Against the dollar, it’s probably going to be sideways for a minute, but that doesn’t mean we can’t go higher eventually. And I do think we will, because it’s only a matter of time before rates have to come down in America, or they start spending wildly again. Take your pick. That’s my government in a nutshell. So, with that being said, I am long term positive, but right now it’s just pretty much a flat market.t

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